IDEAS home Printed from https://ideas.repec.org/a/spr/joamsc/v44y2016i6d10.1007_s11747-015-0470-5.html
   My bibliography  Save this article

Eco-friendly product development strategy: antecedents, outcomes, and contingent effects

Author

Listed:
  • Constantine S. Katsikeas

    (University of Leeds)

  • Constantinos N. Leonidou

    (University of Leeds)

  • Athina Zeriti

    (Durham University)

Abstract

Integrating sustainability aspects into product development has long been recognized as a strategic priority for practitioners. Yet the literature reports mixed results on the product development effectiveness outcomes of sustainable product development strategies, while scant research has investigated how companies integrate environmental aspects into product development. This study develops a model that integrates effectiveness-enhancing outcomes and organizational inputs of eco-friendly product development strategies. Using questionnaire responses from firms from multiple industries, supplemented with lagged primary product development performance data, we find that top management commitment and corporate environmental support policies can facilitate eco-friendly product development strategies, while environmental performance incentives do not. In turn, the adoption of such strategies has a positive effect on firms’ product development effectiveness. This effect weakens when business conditions are highly complex but tends to become stronger with increasing levels of munificence in the business environment. These findings have important implications for practitioners and researchers that are discussed.

Suggested Citation

  • Constantine S. Katsikeas & Constantinos N. Leonidou & Athina Zeriti, 2016. "Eco-friendly product development strategy: antecedents, outcomes, and contingent effects," Journal of the Academy of Marketing Science, Springer, vol. 44(6), pages 660-684, November.
    • Handle: RePEc:spr:joamsc:v:44:y:2016:i:6:d:10.1007_s11747-015-0470-5
    DOI: 10.1007/s11747-015-0470-5
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s11747-015-0470-5
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s11747-015-0470-5?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Danny Miller & Peter H. Friesen, 1983. "Strategy‐making and environment: The third link," Strategic Management Journal, Wiley Blackwell, vol. 4(3), pages 221-235, July.
    2. Paul Lanoie, 2008. "When And Why Does It Pay To Be Green?," CIRANO Papers 2008n-02a, CIRANO.
    3. Rosa Dangelico & Devashish Pujari, 2010. "Mainstreaming Green Product Innovation: Why and How Companies Integrate Environmental Sustainability," Journal of Business Ethics, Springer, vol. 95(3), pages 471-486, September.
    4. Yu-Shan Chen & Shyh-Bao Lai & Chao-Tung Wen, 2006. "The Influence of Green Innovation Performance on Corporate Advantage in Taiwan," Journal of Business Ethics, Springer, vol. 67(4), pages 331-339, September.
    5. Chialin Chen, 2001. "Design for the Environment: A Quality-Based Model for Green Product Development," Management Science, INFORMS, vol. 47(2), pages 250-263, February.
    6. Elena Fraj-Andrés & Eva Martinez-Salinas & Jorge Matute-Vallejo, 2009. "A Multidimensional Approach to the Influence of Environmental Marketing and Orientation on the Firm’s Organizational Performance," Journal of Business Ethics, Springer, vol. 88(2), pages 263-286, August.
    7. Baron, Robert A. & Tang, Jintong, 2011. "The role of entrepreneurs in firm-level innovation: Joint effects of positive affect, creativity, and environmental dynamism," Journal of Business Venturing, Elsevier, vol. 26(1), pages 49-60, January.
    8. Sanjay Sharma & Irene Henriques, 2005. "Stakeholder influences on sustainability practices in the Canadian forest products industry," Strategic Management Journal, Wiley Blackwell, vol. 26(2), pages 159-180, February.
    9. Mahoney, Joseph T., 1995. "The management of resources and the resource of management," Journal of Business Research, Elsevier, vol. 33(2), pages 91-101, June.
    10. Naresh K. Malhotra & Sung S. Kim & Ashutosh Patil, 2006. "Common Method Variance in IS Research: A Comparison of Alternative Approaches and a Reanalysis of Past Research," Management Science, INFORMS, vol. 52(12), pages 1865-1883, December.
    11. Ching-Hsun Chang, 2011. "The Influence of Corporate Environmental Ethics on Competitive Advantage: The Mediation Role of Green Innovation," Journal of Business Ethics, Springer, vol. 104(3), pages 361-370, December.
    12. Zhu, Qinghua & Sarkis, Joseph & Cordeiro, James J. & Lai, Kee-Hung, 2008. "Firm-level correlates of emergent green supply chain management practices in the Chinese context," Omega, Elsevier, vol. 36(4), pages 577-591, August.
    13. Gavronski, Iuri & Klassen, Robert D. & Vachon, Stephan & Nascimento, Luis Felipe Machado do, 2011. "A resource-based view of green supply management," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 47(6), pages 872-885.
    14. Heckman, James, 2013. "Sample selection bias as a specification error," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 31(3), pages 129-137.
    15. Oana Branzei & Teri Jane Ursacki‐Bryant & Ilan Vertinsky & Weijiong Zhang, 2004. "The formation of green strategies in Chinese firms: matching corporate environmental responses and individual principles," Strategic Management Journal, Wiley Blackwell, vol. 25(11), pages 1075-1095, November.
    16. Lockett, Andy & Wright, Mike, 2005. "Resources, capabilities, risk capital and the creation of university spin-out companies," Research Policy, Elsevier, vol. 34(7), pages 1043-1057, September.
    17. Bulent Menguc & Seigyoung Auh & Lucie Ozanne, 2010. "The Interactive Effect of Internal and External Factors on a Proactive Environmental Strategy and its Influence on a Firm's Performance," Journal of Business Ethics, Springer, vol. 94(2), pages 279-298, June.
    18. Pujari, Devashish & Wright, Gillian & Peattie, Ken, 2003. "Green and competitive: Influences on environmental new product development performance," Journal of Business Research, Elsevier, vol. 56(8), pages 657-671, August.
    19. Yu-Shan Chen & Ching-Hsun Chang, 2013. "The Determinants of Green Product Development Performance: Green Dynamic Capabilities, Green Transformational Leadership, and Green Creativity," Journal of Business Ethics, Springer, vol. 116(1), pages 107-119, August.
    20. Pascal Paillé & Yang Chen & Olivier Boiral & Jiafei Jin, 2014. "The Impact of Human Resource Management on Environmental Performance: An Employee-Level Study," Journal of Business Ethics, Springer, vol. 121(3), pages 451-466, May.
    21. Carolyne Smart & Ilan Vertinsky, 1984. "Strategy and the environment: A study of corporate responses to crises," Strategic Management Journal, Wiley Blackwell, vol. 5(3), pages 199-213, July.
    22. Robert D. Klassen & Curtis P. McLaughlin, 1996. "The Impact of Environmental Management on Firm Performance," Management Science, INFORMS, vol. 42(8), pages 1199-1214, August.
    23. Christopher L. Shook & David J. Ketchen & G. Tomas M. Hult & K. Michele Kacmar, 2004. "An assessment of the use of structural equation modeling in strategic management research," Strategic Management Journal, Wiley Blackwell, vol. 25(4), pages 397-404, April.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Tariq, Adeel & Badir, Yuosre F. & Tariq, Waqas & Bhutta, Umair Saeed, 2017. "Drivers and consequences of green product and process innovation: A systematic review, conceptual framework, and future outlook," Technology in Society, Elsevier, vol. 51(C), pages 8-23.
    2. Papadas, Karolos-Konstantinos & Avlonitis, George J. & Carrigan, Marylyn & Piha, Lamprini, 2019. "The interplay of strategic and internal green marketing orientation on competitive advantage," Journal of Business Research, Elsevier, vol. 104(C), pages 632-643.
    3. Norifumi Kawai & Roger Strange & Antonella Zucchella, 2016. "Stakeholder Pressures, EMS Implementation, and Green Innovation in MNC Overseas Subsidiaries," DEM Working Papers Series 121, University of Pavia, Department of Economics and Management.
    4. Gema Albort-Morant & Jörg Henseler & Antonio Leal-Millán & Gabriel Cepeda-Carrión, 2017. "Mapping the Field: A Bibliometric Analysis of Green Innovation," Sustainability, MDPI, vol. 9(6), pages 1-15, June.
    5. Manjot Singh Bhatia & Suresh Kumar Jakhar, 2021. "The effect of environmental regulations, top management commitment, and organizational learning on green product innovation: Evidence from automobile industry," Business Strategy and the Environment, Wiley Blackwell, vol. 30(8), pages 3907-3918, December.
    6. Wei Jiang & Kui Wang & Kevin Zheng Zhou, 2023. "How Political Ties and Green Innovation Co-evolve in China: Alignment with Institutional Development and Environmental Pollution," Journal of Business Ethics, Springer, vol. 186(4), pages 739-760, September.
    7. Anke Buhl & Susanne Blazejewski & Franziska Dittmer, 2016. "The More, the Merrier: Why and How Employee-Driven Eco-Innovation Enhances Environmental and Competitive Advantage," Sustainability, MDPI, vol. 8(9), pages 1-17, September.
    8. Ammar Masood & Mohsin Altaf & Mohsin Raza Khan & Tanveer Illahi & Abdul Qayyum, 2021. "Industrial Environmental Performance: Mapping And Systematic Literature Review," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 10(4), pages 76-100, December.
    9. Ki‐Hoon Lee & Ji‐Whan Kim, 2011. "Integrating Suppliers into Green Product Innovation Development: an Empirical Case Study in the Semiconductor Industry," Business Strategy and the Environment, Wiley Blackwell, vol. 20(8), pages 527-538, December.
    10. Alexandre Rodrigues da Silva & Claudia Brito Silva Cirani & Fernando Antonio Ribeiro Serra & Angélica Pigola & Priscila Rezende da Costa & Isabel Cristina Scafuto & Roberto Lima Ruas & Marcos Rogério , 2023. "Determining Factors on Green Innovation Adoption: An Empirical Study in Brazilian Agribusiness Firms," Sustainability, MDPI, vol. 15(7), pages 1-23, April.
    11. Palmer, Mark & Truong, Yann, 2017. "The Impact of Technological Green New Product Introductions on Firm Profitability," Ecological Economics, Elsevier, vol. 136(C), pages 86-93.
    12. Mercedes Úbeda‐García & Bartolome Marco‐Lajara & Patrocinio C. Zaragoza‐Sáez & Encarnación Manresa‐Marhuenda & Esther Poveda‐Pareja, 2022. "Green ambidexterity and environmental performance: The role of green human resources," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(1), pages 32-45, January.
    13. Lu Qiu & Xiaowen Jie & Yanan Wang & Minjuan Zhao, 2020. "Green product innovation, green dynamic capability, and competitive advantage: Evidence from Chinese manufacturing enterprises," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(1), pages 146-165, January.
    14. Feng Zhang & Lei Zhu, 2019. "Enhancing corporate sustainable development: Stakeholder pressures, organizational learning, and green innovation," Business Strategy and the Environment, Wiley Blackwell, vol. 28(6), pages 1012-1026, September.
    15. Janine Fleith Medeiros & Gabriel Vidor & José Luís Duarte Ribeiro, 2018. "Driving Factors for the Success of the Green Innovation Market: A Relationship System Proposal," Journal of Business Ethics, Springer, vol. 147(2), pages 327-341, January.
    16. Andersén, Jim, 2021. "A relational natural-resource-based view on product innovation: The influence of green product innovation and green suppliers on differentiation advantage in small manufacturing firms," Technovation, Elsevier, vol. 104(C).
    17. Qi Guoyou & Zeng Saixing & Tam Chiming & Yin Haitao & Zou Hailiang, 2013. "Stakeholders' Influences on Corporate Green Innovation Strategy: A Case Study of Manufacturing Firms in China," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 20(1), pages 1-14, January.
    18. Joao Victor Rojas Luiz & Daniel Jugend & Charbel José Chiappeta Jabbour & Octaviano Rojas Luiz & Fernando Bernardi Souza, 2016. "Ecodesign field of research throughout the world: mapping the territory by using an evolutionary lens," Scientometrics, Springer;Akadémiai Kiadó, vol. 109(1), pages 241-259, October.
    19. Chenli Yin & Maria Paz Salmador & Dan Li & M. Begoña Lloria, 2022. "Green entrepreneurship and SME performance: the moderating effect of firm age," International Entrepreneurship and Management Journal, Springer, vol. 18(1), pages 255-275, March.
    20. Yu-Shan Chen & Tai-Wei Chang & Chun-Yu Lin & Pi-Yu Lai & Kuan-Hung Wang, 2016. "The Influence of Proactive Green Innovation and Reactive Green Innovation on Green Product Development Performance: The Mediation Role of Green Creativity," Sustainability, MDPI, vol. 8(10), pages 1-12, September.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:joamsc:v:44:y:2016:i:6:d:10.1007_s11747-015-0470-5. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.